SBP permitted MCB Bank to conduct due diligence for Kenyan Bank

The State Bank of Pakistan permitted MCB Bank to conduct due diligence for the acquisition of a Kenyan Bank. MCB is interested to purchase a bank in Kenya in order to expand its overseas operations. The decision was made by management of MCB after working in financial market of Kenya. The name of the bank is yet to be disclosed by MCB. At present the acquisition procedure is being initialized and completion of deal will take about four to six months, subject to approval from regulators of both countries.

MCB is one of the largest banks of Pakistan. In past it has also applied for due diligence of HSBC, RBS Pakistan and consumer portfolio of Citi bank. MCB-RBS deal collapsed due to failure in obtaining approval from the regulator. Later on RBS (Pakistan) operations were acquired Faysal Bank Limited.

MCB had also applied for NOC to open a branch in India. However, this branch opening in India was declined by SBP. Currently MCB has its foreign operations in UAE, Bahrain, Azerbaijan, Hong Kong and Srilanka.